02-14-2017 ERMU MIN - Laserfiche WebLink

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Al Nadeau made a motion to approve the Fourth Quarter Delinquent Amounts Listing. Daryl Thompson seconded the motion. Motion carried 3-0. 5.3 Load Management Program Moratorium Tom Sagstetter shared that as part of our transition from Great River Energy(GRE)to Minnesota Municipal Power Agency(MMPA), staff has been evaluating load management program changes that are beneficial to the customers and are not subsidized by other customers not participating in the load management programs. Tom explained that based on the price signals we're getting from MMPA, and the current and predicted rates in the Midwest Independent System Operator(MISO)market, it will not be conducive to load management programs. Tom gave some examples of our current programs and how they would be impacted. Staff recommended a moratorium on enrolling new customers in any load management program other than the electric vehicle charging program until such time as new pricing for the programs can be determined or an exit strategy from load management can be determined. John Dietz inquired as to how many customers we have on these programs. Staff responded. There was discussion on other options that were not tied to load management. There was also discussion on what the potential cost would be for ERMU to independently continue to support the existing programs once we transition from GRE to MMPA. Staff responded that once a moratorium is issued,the next step will be researching some of those options and the risk associated with them. There was further discussion. Al Nadeau made a motion to approve a moratorium on all load management programs,with the exception of the Electric Vehicle Charging Program. Daryl Thompson seconded the motion.Motion carried 3-0. 6.0 OTHER BUSINESS 6.1 Staff Updates Troy Adams announced that Mike O'Neill had given his notice and that he could speak more to that during his staff update. In Troy Adams' staff report he had stated that in late 2016 the Commission gave staff direction on issuing an early 2017 Power Cost Adjustment(PCA)credit. As staff is getting ready to process the PCA credit,Troy wanted to talk through the numbers with the Commission.Troy shared that there is a substantial credit of 18 mils,which equates to approximately$486,000. Troy shared that in the past we have always passed along the full credit to our customers,but based on upcoming projects,loss of revenue payments,and buy in to Minnesota Municipal Power Association,Troy wanted to discuss if it was in the utilities best interest to pass along the entire credit at this time. After discussion,Commission consensus was to hold off passing along the PCA credit until further evaluation and discussion could take place. Staff was directed to add this topic to the March Commission meeting agenda. Page 5 Regular meeting of the Elk River Municipal Utilities Commission February 14,2017